(Seguin) — The city of Seguin is hoping that a new economic development tool will help to bring more high-end projects to the community. The city has approved the creation of public improvement districts, better known as a PID.
City Manager Steve Parker says the PIDs are a way to encourage developers to go the extra mile on their projects.
“Many cities are using to up the quality of their developments in their communities in ways to finance other things that could be beneficial to a city – things like fire stations, nicer entry ways to subdivisions, affordable housing projects, nicer type boulevards and stuff – that higher end development that we really do want here in Seguin,” said Parker.
Parker says the creation of a PID policy is a win-win situation for the community and for developers looking to do business here. He says the extra features are all funded by those who own property within the district’s boundaries.
“The great thing about a Public Improvement District is it is financed by the people who live in that district so it’s not coming on the taxpayers of everybody else but it’s a great way to add in nicer parks all those types of things,” said Parker.
The city has not had a PID policy in the past. It’s something that was recommended by staff, and Parker presented it to the city council last week. Parker says there’s no financial burden placed on the city, but the overall benefits can be huge for the community. He says they will use it as a negotiating tool to encourage developers to do more to enhance their proposed projects in the city.
“This policy does not obligate the city to do anything. It gives an avenue for a developer to submit an application for the council to consider and then what we will do is we will work as city staff to bring back any recommendations of saying ‘hey this development is not anything above the current codes of what they actually have to do anyway. So, we do not recommend this for development or these are the pros and the cons of this development but we think we should ask for x,y and z and see if the developers are willing to do that and do a negotiation with them,” said Parker.
Parker says he has seen the benefits of PIDs in other community. He says it’s an important tool for the city to have in its economic development toolbox.
“In other cities that I’ve worked in, we financed $2.5 million toward a fire station in a business park. They had to build 90,000 square feet of warehouse in that development. Part of it was a really nice community park that was the benefit of all citizens there but it was paid for by the people that lived in that special district so it’s a great tool Many, many cities are using it but it does not obligate us to anything so this is just the avenue and the instructions of how developers can apply with the city and they actually pay us to review that application so it doesn’t cost the city a penny,” said Parker.
After Parker’s presentation, the council approved the city’s new PID policy, which will allow staff to begin accepting applications for the creation of the public improvement districts.
